TYSON FOODS has won approval to buy a Thai and European operation off Brazil’s BRF S.A.
The businesses comprise four poultry processing facilities in Thailand and further processing facilities in the Netherlands and the United Kingdom.
US-based Tyson is expanding its overseas operations to mitigate volatility in American agricultural markets.
The $340m purchase was cleared by European competition authorities in late May, with the commission saying there were no affected markets as a result of the proposed transaction.
Its ruling said: “The Commission concluded that the proposed acquisition would raise no competition concerns, because the overlaps were limited and, after the transaction, a number of players would remain in the market.”
BRF S.A’s European operations further process chicken products and supply retail and foodservice businesses across Europe.
Its Thai business includes a hatchery, breeder farms and contract growing operations supplying live birds for four poultry processing facilities.
It’s estimated that approximately 90% of global protein consumption growth will occur outside the United States, with 60% of the volume growth coming from Asia over the next five years,” said Donnie King, group president of international for Tyson Foods.
“Increasing our international footprint with in-country operations and export capabilities will help Tyson Foods strategically access new markets and better serve the growing global demand for our value-added protein.”
